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Modi govt finalises new EV scheme, offers import tax cuts for local productionUnder a revamped scheme, companies will be allowed to import a limited number of electric cars at a lower import duty of 15 per cent versus the current 70 per cent duty if they commit to investing roughly Rs 4,149 crore ($486 million) to build EVs in the country.
Reuters
Last Updated IST
<div class="paragraphs"><p>Image showing an EV charging station. For representational purposes.</p></div>

Image showing an EV charging station. For representational purposes.

Credit: iStock Photo

India on Monday announced a scheme that includes significant import tax cuts for foreign automakers that commit to investing in manufacturing electric cars in the country.

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Under a revamped scheme, companies will be allowed to import a limited number of electric cars at a lower import duty of 15 per cent versus the current 70 per cent duty if they commit to investing roughly Rs 4,149 crore ($486 million) to build EVs in the country, the ministry of heavy industries said in a statement.

Carmakers including Mercedes Benz, Volkswagen , Skoda, Hyundai and Kia have already shown interest in the new policy, a federal minister told reporters in a media briefing on Monday.

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(Published 02 June 2025, 13:20 IST)